ACIT, New Delhi V. M/s. Sarla Holdings Pvt. Ltd., New Delhi

ITA 879/DEL/2015

• Counselvise Citation: [2018] 119 COUNSELVISE.COM (IT) 4567 (ITAT-DELHI)
• Duration Of Justice: 3 year(s) 8 month(s) 16 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 30-10-2018
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: G
• Assessment Year: 2005-2006
• Appeal Filed On: 13-02-2015
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Tax effect

Judgement Text

INCOME TAX APPELLATE TRIBUNAL DELHI BENCH G: NEW DELHI BEFORE SHRI H.S. SIDHU, JUDICIAL MEMBER AND SHRI DR. M.L. MEENA, ACCOUNTANT MEMBER ITA NO. 879/DEL/2015 ASSTT. YEAR: 2005-06 O R D E R PER DR. M.L. MEENA, A.M THIS IS AN APPEAL FILED BY THE REVENUE DIRECTED AGAINST THE ORDER OF LD. COMMISSIONER OF INCOME TAX (APPEALS)-8, NEW DELHI DATED 29.12.2014 PERTAINING TO THE ASSESSMENT YEAR 2005-06. 2. AT THE OUTSET, THE LD. COUNSEL FOR THE ASSESSEE BROUGHT TO OUR NOTICE THAT CBDT VIDE CIRCULAR NO.03/2018 DATED 11TH JULY 2018 HAS DECIDED THAT THE REVENUE WOULD NOT PREFER AN APPEAL BEFORE THE TRIBUNAL IN THE CASES WHERE IF THE TAX EFFECT IS LESS THAN RS.20 LAKHS. A CIT, CIRCLE 22(1) NEW DELHI. VS. SARLA HOLDINGS PV T. LTD. 2, SAINIK FARMS NEW DELHI. PAN AAFCS7428A (APPELLANT) (RESPONDENT) DEPARTMENT BY: SHRI SANJAY TRIPATHI , SR. DR ASSESSEE BY : MS. PREM LATA BANSAL SR. ADV. DIVYANSHI AGARWAL, ADVOCATE DATE OF HEARING 30/10 /201 8 DATE OF PRONOUNCEMENT 30/ 10 /2018 2 THEREFORE, HE PLEADED THAT THE APPEAL OF THE REVENUE IS NOT MAINTAINABLE AS PER THE AFORESAID INSTRUCTION OF THE CBDT. 3. WE HAVE HEARD BOTH THE SIDES ON THE ISSUE AND PERUSED THE MATERIAL. WE FIND THAT THE CBDT VIDE CIRCULAR DATED 11TH JULY 2018 HAS REVISED THE MONETARY LIMIT FOR FILING THE APPEAL BY THE DEPARTMENT BEFORE INCOME TAX APPELLATE TRIBUNAL TO RS. 20 LAKHS. 4. WE FIND THAT THE TAX EFFECT INVOLVES IN THE APPEAL OF THE REVENUE IS BELOW RS.20 LAKHS. THERE IS NO DISPUTE THAT THE BOARDS INSTRUCTIONS AND CIRCULARS ISSUED TO THE INCOME-TAX AUTHORITIES ARE BINDING IN NATURE ON THESE AUTHORITIES, THEREFORE, THE DEPARTMENT SHOULD HAVE WITHDRAWN/NOT PRESSED THE PRESENT APPEAL IN VIEW OF THE AFORESAID INSTRUCTION SINCE THE TAX EFFECT IN THE INSTANT APPEAL IS LESS THAN THE AMOUNT OF RS.20 LAKHS. LD. DR HAS NOT CONTROVERTED THIS FACT. 5. IN VIEW OF THE ABOVE, CIRCULAR NO.3/2018 DATED 10.07.2018, IT IS HELD THAT THE APPEAL IS NOT MAINTAINABLE IN THE INSTANT CASE AS THE TAX EFFECT IS LESS THAN RS.20 LAKHS. 6. IN THE RESULT, THE APPEAL OF THE REVENUE STANDS DISMISSED. THIS DECISION WAS PRONOUNCED IN THE OPEN COURT ON 30 TH OCTOBER, 2018. SD/- SD/- (H.S. SIDHU) (DR. M.L. MEENA) JUDICIAL MEMBER ACCOUNTANT MEMBER DATED: 30/10/2018 VEENA COPY FORWARDED TO 1. APPLICANT 2. RESPONDENT 3. CIT 3 4. CIT (A) 5. DR:ITAT ASSISTANT REGISTRAR ITAT, NEW DELHI